VIC $420,000 House in Lucas (Ballarat region)

Good afternoon all

I was looking at the following property as my first investment property:

11 McTaggart Street, Lucas VIC 3350 | Domain

My budget it to $480k so this one looked affordable. Estimated rental was $365/week.

Unfortunately I was not quick enough and contracts have been signed. However I wanted to know others thoughts on it.

My Pros:
Neat property with little maintenance required (I'm not handy and not inclined to renovate or upgrade).
More established part of Lucas and it has established shopping centre, schools, parks.
I'm not over reaching with my budget.
Looks to be under valued based on this estimate: 11 McTaggart Street Lucas VIC 3350 Sold Prices and Statistics
The property has seen some growth with it last being sold for $320,000 5 years ago.

My Cons:
Small parcel of land
Is Lucas too far out from Ballarat CBD?
There is still a lot of land in Lucas to be developed.

I would appreciate anyone's thoughts on this.

 

I haven't spent much time looking in Lucas, I own 2 in Wendouree. My perspective of Ballarat is everything seems close and easy to get to, Lucas being only 7km away from Ballarat Central I don't see an issue. I chose Wendouree for the Train station, the new Stocklands, centrally located with Ballarat Grammar and easy access to the ring road to Melb.

 

Thanks for your reply Craig. The property I listed above sold for $438,000 within 5 days of listing so the Lucas area is certainly popular. Over 7% growth over the past 5 years.

 

Yes Wendouree the same. Agents are calling me asking if I want to sell as they have buyers ready. One of my places became vacant during stage 4 lockdown and had 12 groups through for the first viewing to rent. Going gangbusters at the moment but rarelt gets a mention in the news articles, only Geelong gets mentions. I've made just as much in Wendouree in 2 years than I have in Corio in 3 years. Ballarat just flies under that radar

 

Looks nice, but still it needs a lot of remodeling

 

What do you mean by this AlRoss? The property was fairly new so I am not sure what would need to be remodeled. What would you do if you had purchased the property in a hypothetical world?